Recovery Proceedings by Co-operative Housing Societies under Section 154B(29) of the Maharashtra Co-operative Societies Act, 1960 – Court Fee, Stamp Duty and Process Fee
When a Co-operative Housing Society seeks to recover outstanding maintenance charges, interest, penalties, legal charges, or other dues from a member, it may file Recovery Proceedings under Section 154B(29) of the Maharashtra Co-operative Societies Act, 1960 before the Deputy Registrar, Co-operative Societies.
Before filing the recovery application, the Society is required to pay Court Fee, Stamp Duty, and Process Fee as prescribed under the applicable laws and rules.
1. Court Fee Payable
Every Recovery Application filed under Section 154B(29) is required to be accompanied by a Court Fee Stamp of: Rs. 100/- (Rupees One Hundred Only).
The Court Fee Stamp should be affixed on the Recovery Application at the time of filing.
2. Stamp Duty on Recovery Application
Stamp Duty is payable on the amount claimed in the Recovery Application as per the applicable provisions of the Maharashtra Stamp Act.
A. Claim Amount up to Rs. 1,00,000
- Stamp Duty @ 2% of the claim amount.
- Maximum Stamp Duty payable: Rs. 2,000/-.
B. Claim Amount above Rs. 1,00,000 and up to Rs. 5,00,000
- Fixed Stamp Duty of Rs. 2,000/- on the first Rs. 1,00,000.
- On the balance amount exceeding Rs. 1,00,000 and up to Rs. 5,00,000, Stamp Duty is payable @ 1%.
- Maximum Stamp Duty payable: Rs. 6,000/-.
Example:
Claim Amount: Rs. 3,00,000
- First Rs. 1,00,000 = Rs. 2,000
- Remaining Rs. 2,00,000 @ 1% = Rs. 2,000
Total Stamp Duty = Rs. 4,000
C. Claim Amount exceeding Rs. 5,00,000
- Fixed Stamp Duty of Rs. 6,000/- on the first Rs. 5,00,000.
- On the amount exceeding Rs. 5,00,000, Stamp Duty is payable @ 0.5% (Half Percent).
- However, the total Stamp Duty payable shall not exceed:
Example:
Claim Amount: Rs. 20,00,000
- First Rs. 5,00,000 = Rs. 6,000
- Balance Rs. 15,00,000 @ 0.5% = Rs. 7,500
Total Stamp Duty = Rs. 13,500
3. Process Fee Payable
The Process Fee is required to be deposited through Government Treasury Challan before the filing of the Recovery Application. The Process Fee is calculated according to the claim amount as follows:
Claim Amount
Process Fee
Up to Rs. 50,000
Rs. 500/- Fixed
Rs. 50,001 to Rs. 1,00,000
Rs. 700/- Fixed
Rs. 1,00,001 to Rs. 5,00,000
Rs. 700 + Rs. 50 for every additional Rs. 1,00,000 or part thereof (Maximum Rs. 900)
Rs. 5,00,001 to Rs. 10,00,000
Rs. 900 + Rs. 100 for every additional Rs. 1,00,000 or part thereof (Maximum Rs. 1,400)
Rs. 10,00,001 to Rs. 25,00,000
Rs. 1400 + Rs. 150 for every additional Rs. 1,00,000 or part thereof (Maximum Rs. 3,650)
Above Rs. 25,00,000
Rs. 3,650 + Rs. 200 for every additional Rs. 1,00,000 or part thereof (Maximum Rs. 20,000)
4. Documents to be Attached with Recovery Application
A Co-operative Housing Society should generally attach documents Required for Recovery Proceedings under Section 154B(29) of the Maharashtra Co-operative Societies Act, 1960:
- Recovery Application under Section 154B(29) of the Maharashtra Co-operative Societies Act, 1960, duly signed and verified, affixed with a Court Fee Stamp of Rs.100/-.
- Certified Copy of the Resolution passed by the Managing Committee authorising initiation of recovery proceedings against the defaulting member.
- Detailed Statement of Dues, showing a complete break-up of maintenance charges, service charges, sinking fund, repair fund, parking charges, non-occupancy charges, and any other dues, along with a separate calculation sheet of interest claimed.
- Copies of Demand Notices issued by the Society to the defaulting member (First, Second and Final Demand Notices).
- Copy of Legal Notice issued through the Society’s Advocate demanding payment of outstanding dues.
- Member’s Ledger Account Statement duly certified by the Society, showing all debit and credit entries.
- Court Fee Stamp of Rs.100/- affixed on the Recovery Application.
- Proof of Payment of Process Fee, such as Treasury Challan or any other prescribed receipt.
- Appropriate Stamp Duty paid on the application and supporting documents, wherever applicable, through Court Fee Stamps or Stamp Paper as prescribed.
- Registration Certificate of the Society issued by the Co-operative Department.
- Relevant Supporting Documents, including: – Maintenance Bills issued to the member;
Note: All documents should be self-attested or certified by the Secretary/Chairman of the Society and submitted in sufficient sets as required by the Recovery Officer/Deputy Registrar.
Conclusion
Before filing a Recovery Application under Section 154B(29) of the Maharashtra Co-operative Societies Act, 1960, a Housing Society must ensure payment of:
- Court Fee of Rs. 100/-;
- Applicable Stamp Duty;
- Prescribed Process Fee through Treasury Challan.
Failure to pay the correct Court Fee, Stamp Duty, or Process Fee may result in objections from the office of the Deputy Registrar and delay the recovery proceedings.
Disclaimer: Applicants should verify the latest Government Notifications, Circulars, and Registrar’s Orders before filing, as fee structures and procedures may be revised from time to time.
Written by:
Adv. CMA CS Jagannath P. Mane
Advocate, High Court